Black Hills (BKH) Investor presentation summary

Strategic overview and growth outlook

• Operates as a vertically integrated utility with electric and natural gas services across eight states, serving 1.37 million customers and managing $10.9 billion in assets and a $6.4 billion rate base.

• Targets 4–6% adjusted EPS CAGR from 2026–2030, supported by a $4.7 billion capital plan and a robust data center pipeline exceeding 3 GW.

• Customer-focused strategy emphasizes safety, reliability, and affordability, with 56 consecutive years of dividend increases and a 55–65% payout target.

• Constructive regulatory environments and mechanisms support timely cost recovery and investment returns.

Key initiatives and operational performance

• Achieved 6% year-over-year adjusted EPS growth and maintained a strong balance sheet.

• Advanced rate reviews in multiple jurisdictions and completed abbreviated rate review for Kansas Gas.

• Progressed major projects, including the 99 MW Lange II generation project and a 50 MW battery storage project in Colorado.

• Addressed large-load demand, with Meta data center ramping up and agreements for 1.8 GW data center load underway.

• Invested $905 million in 2026 for safety, reliability, and growth, while mitigating wildfire risk and securing liability protections.

Data center and large-load service model

• Over 3 GW data center pipeline, with 600 MW expected by 2030 and minimal capital investment required.

• Flexible service model offers market energy, contracted, and company-owned resources, supported by innovative tariffs in Wyoming.

• Data center demand projected to contribute over 10% of consolidated EPS by 2028.

• Actively negotiating additional agreements, including a 1.8 GW project and 600 MW+ of new opportunities.